STRATEGIC PARTNERS
April 21, 2002
BUENOS AIRES, Argentina - Anxious customers withdrew more than $43 million worth of pesos from ATMs in Buenos Aires between April 19-20 after the government ordered banks and exchange houses closed as the country faces more financial struggles.
President Eduardo Duhalde ordered an indefinite bank holiday April 19 after a week of the peso's steady decline against the dollar along with mounting social tension and rising prices, the daily Clarin reported.
Argentines lined up at more than 3,700 ATMs to withdraw their money, but many went away empty-handed since banks were not replenishing cash in many machines. Banks are expected to open again by April 24, according to the Clarin.
The country's financial system could collapse, Duhalde announced in his weekly national radio address, as reported by the Associated Press. HHhhhlll
He ordered the banking halt in order to give the Central Bank time to finalize a plan aimed at rescuing the financial system. Argentina currently is negotiating with the International Monetary Fund for a $10 billion loan.
